Knowledge Hub · 15 pages

📈Credit & Readiness

Score minimums, collections, bankruptcy, and how to fix them fast.

“Is my credit good enough to buy?”

Overview

Credit decides two things: whether you're approved, and what you pay for the next 30 years. Most buyers are closer to approval than they think — they just have one fixable item sitting on their report.

Start with the minimum score for the program you want, then work the specific issue that's holding you back.

Start hereHow to raise your credit score before applyingThe moves that work in 30–90 days, and the ones that quietly backfire.Read it

Learning path

The right order for this topic.

Credit essentials

Minimum credit score for an FHA loan (2026)The published FHA floor is 500. The real-world overlay from most lenders is 620. Here's the truth about both.6 min read Minimum credit score for a VA loan (2026)The VA sets no credit-score minimum. Lenders do — usually 580 or 620. Here's what actually matters on a VA file.6 min read Credit Score Needed for a Mortgage: Minimum Score to Buy a House (2026)The minimum credit score to buy a house on a conventional loan is 620 — but 740+ is where pricing really opens up. Here's what each tier actually costs.7 min read How to improve your credit score for a mortgageThe exact moves that raise a mortgage FICO the fastest — ranked by impact and speed.7 min read Medical collections and your mortgageThe 2022 credit-bureau changes largely removed medical collections from mortgage decisioning. Here's what's still counted — and what isn't.6 min read Student loans and mortgage qualificationEvery loan program treats student loans differently — and the difference can move your approval by $100K.8 min read Getting a mortgage after bankruptcyChapter 7 and Chapter 13 each have different waiting periods per loan program. Here's the exact clock for 2026.7 min read Getting a mortgage after foreclosureForeclosure waiting periods run 3–7 years by program. Here's the exact clock and how to rebuild in the meantime.7 min read Getting a mortgage after a short saleShort sales carry shorter waiting periods than foreclosure — often 2 years or less. Here's the exact clock.6 min read Late payments and mortgage approvalNot every late payment kills a mortgage file. Here's what actually matters — recency, severity, and pattern.6 min read

Tools

Readiness ScorecardSee exactly which factor is holding you back.Get Ready SimulatorMove the sliders and watch your readiness change.DTI CalculatorThe other half of the approval decision.

Comparisons

ReadinessIQ vs Credit KarmaCredit monitoring vs mortgage readiness.Pre-approval vs pre-qualificationWhich one a seller takes seriously.

Frequently asked questions

What's the lowest credit score that can buy a house?

580 with 3.5% down on FHA, and 500–579 with 10% down at a small number of lenders. Conventional starts at 620. VA and USDA have no federal minimum but most lenders overlay 620–640.

How fast can I raise my score before applying?

Paying revolving balances below 30% utilization can move a score 20–60 points within one reporting cycle (30–45 days). Rapid rescore through a lender can reflect it in 3–5 business days.

Do medical collections still hurt mortgage approval?

Much less than they used to. Paid medical collections and unpaid balances under $500 no longer appear on consumer reports, and most programs don't require medical collections to be paid off.

Ask RED about credit & readiness

“Is my credit score good enough to get a mortgage?”

Ask RED Take the Readiness Scorecard

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